Jinshan Gold Mines Inc., a Canadian mining company operating in China, plans to invest $50 million in the next 12 months to expand annual output of the precious metal by 45 percent, an executive said.

``We are running at 110,000 ounces of annual production,'' Roger Walsh, vice president for corporate development, said today in Singapore. ``When we do the next phase, we would nudge it to approximately 160,000 ounces a year.''

Gold prices rose to a record last month, prompting mining companies to boost output and exploration. China overtook South Africa as the world's largest gold producer last year, according to data from researcher GFMS Ltd.

Jinshan, based in Vancouver, has about 6 million ounces of reserves, Walsh said in an interview at a mining conference.

The stock, which trades on the Toronto Stock Exchange, has gained 20 percent in the past 12 months to close at C$2.82 yesterday, valuing Jinshan at C$453 million ($447 million).

The company is considering future financing, and may soon hire advisers to decide whether to list shares in Hong Kong, Walsh said.

``Access to capital is the least of our concerns,'' he said. ``The issue is, do we do it this way.''